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Changes in organizational structure are being used by many corporations today to try and create and edge over their competitors. Reorganization may be beneficial, but it isn’t accomplished easily. Simply changing to a new structure is no guarantee of success. The corporation must determine the correct structure and then provide adequate direction and empower employees to make the change.
XYZ Corporation has been severely affected by the recent economic downturn. With the United States economy in recession, widget sales have dropped to record low levels. XYZ has tried to compensate for this by offering buy-out programs to both hourly and salaried personnel. The targeted 20% reduction in salaried personnel has left the assembly department with only 50% of its’ Group Leaders. This has caused the department to scramble and try to run production with only half of its supervisors.
The purpose of this field project is to attempt to provide a structure which will allow the assembly department to function effectively with a reduced number of Group Leaders. This project will be performed by mid-level managers who are normally not responsible for providing this type of direction. The processes used for completion of the project are detailed and the results are reviewed with upper management.